RBI
RBI to make regulatory sandbox facility available 'on tap'
The RBI has proposed making its Regulatory Sandbox 'Theme Neutral' and 'On Tap', allowing continuous access for eligible fintech innovations. This move aims to foster ongoing innovation beyond the limited-time thematic cohorts launched since 2019.
Higher US tariffs to impact local growth and inflation: RBI boss
RBI Governor Sanjay Malhotra warned of growth and inflation risks from global tariff wars and policy uncertainties, prompting a downward revision of India's FY26 growth forecast to 6.5%. He emphasized India's relative resilience due to lower export dependence but acknowledged that rising trade frictions remain a growth dampener.
RBI to accept applications from regulated entities, others through PRAVAAH platform from May 1
The Reserve Bank of India (RBI) has mandated the use of the PRAVAAH platform for all regulatory applications, licenses, and approvals starting May 1, 2025. This initiative aims to digitize and streamline the approval process, enhancing efficiency and transparency. Launched on May 28, 2024, PRAVAAH has already facilitated over 3,000 submissions.
RBI should have gone for a deeper rate cut, say economists and industry leaders
RBI Repo Rate: The Reserve Bank of India's recent repo rate cut of 25 basis points has sparked debate among experts, with many advocating for a more substantial reduction to stimulate economic growth. While the rate cut to 6% and shift to an 'accommodative' stance were anticipated, some economists argue a bolder approach is needed.
RBI MPC Meeting GDP Forecast: Reserve Bank of India cuts India’s growth forecast amid Trump tariff tensions
The Reserve Bank of India's Monetary Policy Committee has adjusted India's GDP forecast due to concerns about Trump's tariffs. The MPC previously estimated FY26 GDP growth at 6.7%. RBI anticipates economic growth in the coming quarters. Interest rates have been reduced to 6%. The MPC has shifted its stance to 'accommodative'.
RBI cuts repo rate by 25 bps: Borrowers can rejoice as their home loan EMI comes down further
RBI MPC Meeting repo rate cut: The RBI Governor announced the reduction in the repo rate by 25 basis points in the MPC meeting today. The latest repo rate cut will help the borrowers to reduce their EMIs in the upcoming months and relief from higher EMIs. Read on to know what borrowers need to do now.
RBI MPC Meeting: Trump tariff turmoil puts pressure on Reserve Bank of India to act
RBI Monetary Policy Meeting: India's central bank is anticipated to lower interest rates, coinciding with the implementation of US import tariffs. Investors are bracing for potential market instability, with expectations that Governor Sanjay Malhotra will implement measures to strengthen the economy against a slowdown. Economists predict a 25 basis point cut to 6%, while also monitoring inflation, liquidity management, and bond/rupee reactions.
RBI's policy stance turning accommodative shows signs of easing: SBI Report
The RBI has adopted a more accommodative policy stance as inflation expectations ease. A State Bank of India report says the shift is linked to changing household expectations, not just past data. With inflation forecast at 8.9% over the next three months, the RBI appears focused on supporting growth while keeping inflation in check.
Treat customers with dignity, ensure easy-to-understand pricing, RBI deputy governor tells NBFCs
RBI Deputy Governor Swaminathan J. urged NBFCs in Chennai to prioritize customer dignity and transparent pricing, cautioning against exploitative practices masked as fees and unsustainable interest rates. He emphasised that financial inclusion should not be a pretext for financial exploitation.
RBI’s move fuels hopes of more rate cuts in financial markets, especially in bond trading rooms
RBI Governor Sanjay Malhotra cut the repo rate by 25 basis points to 6% and shifted the monetary policy stance to ‘accommodative’, signaling the possibility of more rate cuts ahead. Amid softening inflation and tax cuts by the government, the move aims to boost spending. Malhotra ruled out any rate hikes unless inflation unexpectedly spikes.
RBI MPC cuts repo rate by 25 bps to 6% amid market uncertainty, tariff turmoil; shifts to accommodative stance
RBI MPC 2025 Repo Rate Change: The Reserve Bank of India (RBI) has reduced the repo rate to 6.0% from 6.25%, marking the second consecutive cut under Governor Sanjay Malhotra. This decision, driven by softer inflation and easing oil prices, aims to support India's economic growth amidst pressures like US tariffs.
RBI’s cautious accommodative turn: Policy room intact amid global uncertainty
The RBI cut interest rates by 25 bps and adopted an accommodative stance amid global uncertainty. With lowered growth and inflation projections, the central bank remains cautious yet flexible. Its future actions depend on evolving global trade tensions, particularly China's currency moves and potential Fed rate cuts.
From UPI transaction limit to gold loans: Six measures announced by RBI for banks, fintechs
RBI Governor Sanjay Malhotra unveiled six measures for banks and fintechs, including enabling securitization of stressed assets and extending co-lending guidelines. The RBI will also harmonize regulations for gold loans and non-fund-based facilities. Transaction limits for UPI may be revised by NPCI, while P2P transactions remain capped.
RBI MPC meeting at a glance: Your one-stop guide for all key decisions
The Reserve Bank of India has reduced the repo rate. The new rate is now 6%. Governor Sanjay Malhotra led the Monetary Policy Committee. The RBI also changed its stance. It is now 'accommodative'. This signals potential support for economic growth. The decision occurs amidst global economic uncertainties.
RBI plans new rules for gold loans; Manappuram, Muthoot Finance shares dive
Reserve Bank of India plans to introduce uniform guidelines for gold loans. These rules will apply to banks and Non-Banking Financial Companies. The aim is to bring clarity and fairness to gold loan practices. Currently, different lenders follow varying rules. This leads to inconsistencies and management concerns. RBI seeks public feedback on the draft guidelines before finalizing them.
RBI's rate cut to cushion economy amidst global turmoil, says India Inc
The RBI’s second consecutive rate cut to 6% aims to shield India’s economy from global shocks triggered by US tariffs, industry bodies said. CII called the move timely and prudent, adding the accommodative stance and easing cycle reflect concerns over slowing global growth and a mild domestic inflation outlook.
RBI MPC Meeting: When and where to watch key decisions taken by Sanjay Malhotra-led panel
RBI's Monetary Policy Committee, led by Governor Sanjay Malhotra, will announce policy rate decisions on April 9, 2025, followed by a press conference. In February 2025, the MPC cut the repo rate to 6.25%, the first in five years, and reduced the CRR to 4% to boost liquidity. The RBI projects a 7.
RBI asks IndusInd Bank board to fix accountability over accounting lapses that shook investor trust
The Reserve Bank of India (RBI) has directed the board of IndusInd Bank to ensure accountability for accounting lapses that triggered a steep drop in the bank’s market value in early March and eroded depositor and investor confidence. Although RBI did not name the bank explicitly during a recent press briefing, Deputy Governor J. Swaminathan said it is standard regulatory practice to initiate forensic audits and accountability reviews in such cases. Those found responsible—internal or external—will be investigated and face appropriate action for the lapses.
RBI not done yet with rate cuts, Sanjay Malhotra hints at more
RBI Monetary Policy Repo Rate: RBI Governor Sanjay Malhotra hinted at a potential rate cut following two consecutive reductions, shifting the monetary stance to 'accommodative' to boost economic activity. The move aims to provide relief to borrowers with lower EMIs, with the next policy announcement scheduled for June 6. System liquidity has improved, moving from deficit to surplus due to RBI's liquidity-boosting measures.
RBI to keep sufficient liquidity to ensure faster rate transmission
The RBI has lowered rates for the second time in five years to boost growth, with plans for further easing. Governor Sanjay Malhotra emphasized efficient liquidity management to ensure quick transmission of policy rates. The RBI has injected ₹6.6 lakh crore into the system, leading to a surplus in liquidity. Experts anticipate more rate cuts or status quo to address potential low growth.
Reduce home loan EMI or cut tenure? What will save you more on interest after RBI repo rate cut by 50 bps?
Home loan EMI reduction: After a long time, the RBI has relieved the borrowers by cutting the repo rate successively by 50 basis points. With the repo rate reduced, home loan borrowers have to choose either to reduce their home loan EMI amount or reduce home loan tenure. If you are confused about which option will save you more money, then here is your answer.
Looking at liquidity surplus of around 1% of deposits, RBI Governor Sanjay Malhotra says
The RBI aims to maintain banking system liquidity near 1% of total deposits—around ₹2 trillion—to support policy rate transmission, Governor Sanjay Malhotra said. He stressed flexibility, adding the RBI would act as needed. Liquidity tools, including overnight repos and bond buys, remain in focus amid a broader framework review.
RBI to bring in market-based scheme for stressed asset securitisation
The RBI has issued draft guidelines for the securitisation of stressed assets through a market-based mechanism, aiming to improve risk distribution and provide exit routes for lenders. It proposes securitisation of personal, MSME, and other loans, excluding farm credit and education loans. The framework also introduces capital requirements and external valuation reports, aiming to develop India's junk bond market.
Muthoot Finance shares fall 14% in two-day rout on RBI tightening gold loan rules
Muthoot Finance shares plummeted after the Reserve Bank of India (RBI) announced forthcoming comprehensive regulations for gold-backed loans, triggering a selloff. The new rules include a uniform Loan-to-Value (LTV) cap of 75% and stricter monitoring of gold loans for income generation. Other lenders with gold loan exposure, like Manappuram Finance and IIFL Finance, also experienced declines following the announcement.
RBI’s second rate cut signals game on: What it means for stock market investors
The RBI cut repo rates by 25 bps to 6% and shifted to an accommodative stance, signalling more cuts ahead to support growth amid global uncertainty. Markets were subdued; gold loan NBFCs fell on tighter norms. Experts expect further easing to boost demand, though transmission may take time.
RBI MPC policy: The rate is not for exchange, but to support growth
The RBI has shifted its monetary policy stance to "accommodative" and reduced key policy rates, signaling a focus on supporting growth despite global economic challenges. Governor Sanjay Malhotra emphasized that the MPC is considering rate cuts, aiming for a 6.5% growth in 2024-25, while minimizing reliance on exchange rate management.
RBI MPC Meet Highlights: From repo rate to GDP growth, key numbers in focus
RBI MPC Meet Highlights: Led by Sanjay Malhotra, the RBI's MPC is anticipated to cut the repo rate by 25 bps and shift to an 'accommodative' stance, aiming to bolster economic growth amid subdued inflation. This decision follows a previous rate cut and CRR reduction to enhance liquidity.
Four PSU banks cut lending rate in line with RBI's policy, more to follow suit
Four public sector banks—Punjab National Bank, Bank of India, Indian Bank, and UCO Bank—have announced a reduction of up to 35 basis points in their lending rates following the RBI's cut in the repo rate. Indian Bank's new rate is 8.70%, PNB’s is 8.85%, Bank of India’s is 8.85%, and UCO Bank's rate is 8.80%.
RBI OMO gets over 3 times offers on high bond prices
RBI OMO purchase:The RBI’s second open market operation (OMO) in FY26 attracted bids worth ₹70,144 crore—over three times the ₹20,000 crore on offer—indicating robust demand as traders sought profit amid higher bond prices. Liquidity infusion may continue through FY26.
RBI MPC Meet: Key takeaways from governor Sanjay Malhotra’s address
The Reserve Bank of India (RBI) reduced the repo rate by 25 basis points to 6%, changing its stance to 'accommodative' to stimulate economic growth. Led by Governor Sanjay Malhotra, the Monetary Policy Committee's decision was unanimous amidst global uncertainty and trade tensions. The SDF rate is now 5.75%, and the MSF rate is 6.25%.
RBI rules out risk weight reduction on unsecured loans
RBI data on sectoral bank credit deployment indicates that since November 2023, there has been a notable increase in growth in other collateral-backed segments, such as loans against fixed deposits, shares, and gold jewelry loans that are perceived as lower-risk from a bank’s asset quality perspective.
What should be your mutual fund strategy after RBI’s 25 bps rate cut?
Following the RBI’s second consecutive rate cut to 6%, experts suggest shifting to dynamic, medium-to-long duration, and high-quality debt funds. Equity investors are advised to favor index and flexicap funds, reduce mid- and small-cap exposure, and maintain SIPs/STPs. A long-term investment horizon is recommended amid global uncertainty.
RBI Inflation 2025-26: Amid global trade war, RBI MPC projects India's inflation at 4% in FY26
RBI Inflation 2025-26: The RBI's Monetary Policy Committee anticipates inflation to moderate to 4% in FY26, supported by favorable food prices, offering relief to households. Despite global uncertainties, including Trump's tariffs, the RBI cut the repo rate to 6.00% while maintaining a neutral stance. India's retail inflation has eased, but economic growth faces potential headwinds from trade tensions.
RBI's 25 bps rate cut, change of monetary stance to 'accommodative' timely move: Experts
RBI changed its policy stance to "accommodative" from "neutral", indicating the possibility of more rate cuts in future, Governor Sanjay Malhotra said while announcing the MPC decisions.
Amid tariff pressure, 50 bps rate cut by RBI on April 9 can be a good pre-emptive move: Economists
Several economists are urging the RBI to consider more aggressive rate cuts in its upcoming monetary policy meeting to support the Indian economy amidst global market declines. While some experts suggest a 50-basis-point cut, others anticipate a more cautious 25-basis-point reduction, with an accommodative stance expected.
RBI MPC throws its trump cards: Why did Sanjay Malhotra-led panel cut rates and change its stance?
Led by Sanjay Malhotra, the Monetary Policy Committee has reduced repo rates by 25 basis points to 6% in response to a sluggish economy and the impact of Trump's tariffs. The committee also shifted its stance from neutral to accommodative amidst global economic uncertainties.
RBI to boost banking system liquidity with Rs 40,000 crore OMO and repo operations
The Reserve Bank of India (RBI) is set to inject liquidity into the banking system through open market operations (OMO) and variable rate repo (VRR) auctions this month. These measures aim to achieve a system liquidity surplus of 1% of net demand and time liabilities (NDTL) and to offset the impact of GST outflows.
Muthoot Finance, IIFL Finance shares fall up to 9% as RBI plans tighter gold loan norms
Shares of Muthoot Finance, IIFL Finance, and Manappuram Finance fell sharply after the RBI announced plans to tighten gold loan regulations. The central bank also cut the repo rate by 25 bps to 6% and lowered the FY26 GDP growth forecast to 6.5%. Banking stocks declined broadly despite the easing, with PSU banks leading the fall.
I am Sanjay but not Sanjay of Mahabharat who can predict rate cuts, says RBI guv
"It is a joint effort... the government has done its bit in the Budget recently by taking a large number of measures in terms of the increased capex, tax rebates and we have reduced repo rate and changed the stance going forward, which means that the direction of the policy repo rate is downwards.
BharatPe secures RBI nod to operate as online payment aggregator
The final nod to Resilient Payments comes more than two years after it received an in-principle approval from the RBI, in January 2023. A PA licence allows companies to settle ecommerce transactions while bringing them under RBI regulation.
RBI cuts interest rates and shifts to accommodative stance amid global uncertainty
The RBI's monetary policy committee reduced the repo rate by 0.25% and adopted an accommodative stance, signaling potential future rate cuts. Despite global growth risks and inflationary pressures, the central bank aims to support economic recovery. Rate-sensitive sectors like housing may benefit from lower lending rates.
RBI did best to tackle Trump's unpredictable moves, says Nilesh Shah after rate cut
This is the second consecutive rate cut by the RBI this calendar year and the first in the current financial year, marking the second under Governor Malhotra. In February, the central bank had lowered the repo rate by 25 basis points. Prior to this, the repo rate had remained at 6.5% for 11 consecutive meetings.
FD investors: Book your fixed deposits at higher interest rates now before they come down further
RBI repo rate cut by 25 bps: The RBI Governor has announced the 2nd rate cut in the repo rate. The two successive rate cuts will bring down the fixed deposit interest rates. The FD investors, especially the senior citizens, should act now to your book fixed deposits at higher interest rate before they lose the opportunity.
Sensex falls 400 pts, Nifty below 22,400 as global rout worsens, RBI trims FY26 GDP forecast
Indian benchmark indices experienced a downturn, mirroring a global sell-off fueled by escalating trade tensions and concerns over U.S. tariffs. Despite the RBI's rate cut and revised GDP forecast, market sentiment remained weak. IT, pharma, and metal stocks were particularly affected by the trade war's potential impact on revenue and competition, while gold loan providers faced regulatory concerns.
India's GDP growth faces risks from Trump tariff rude shock and RBI isn't mincing words
RBI Governor Sanjay Malhotra acknowledged that US tariff measures have increased uncertainties, making it difficult to assess the impact on economic growth. While growth is improving, it remains below desired levels. The MPC has revised the FY26 GDP growth forecast downward by 20 basis points to 6.5%, citing headwinds from global trade and inflation.
RBI rate cut will have positive impact on auto sector: SIAM
Reduction in rates at this time would have a positive impact on the auto sector, Society of Indian Automobile Manufacturers (SIAM) President Shailesh Chandra said in a statement.
RBI allows flexibility in UPI transaction limits for in-person merchant payments
RBI Governor Sanjay Malhotra announced that NPCI will have the flexibility to adjust transaction limits for UPI in-person merchant payments, in consultation with banks and stakeholders. While the current cap for P2P transactions remains ₹1 lakh, P2M payments may see limits revised based on user needs, with safeguards in place.
RBI, keep your powder dry: Why MPC should preferably ‘do nothing’ this time
RBI Governor Sanjay Malhotra faces a crucial decision at the MPC's 3-day meet amid uncertainty from Trump's tariffs. With the potential inflation impact still uncertain, there's a call for caution. Growth estimates remain robust, but food inflation could rise in summer. Historically, decisions made in haste bear repercussions, indicating that a wait-and-watch approach might be best.
Growth, home demand take centre-stage as RBI cuts rates, hints at more
The Reserve Bank of India (RBI) reduced the policy rate by 25 basis points for the second time this year, shifting its stance to 'accommodative' to prioritize growth amid global uncertainties. The MPC cited falling food inflation and a nascent economic recovery as reasons for the cut, projecting 6.5% growth for FY26 and a 4% inflation rate.
RBI likely to go for 25 bps rate cut
Economists unanimously forecast the Reserve Bank of India to cut the policy interest rate by 25 basis points due to easing domestic inflation. However, opinions are divided on the shift to a monetary stance amid global trade uncertainty and volatile market conditions.
RBI cuts repo rate: Indian Bank, PNB, Bank of India revise RLLR rates; lower EMI for home loan borrowers
The Reserve Bank of India on Wednesday reduced the repo rate by 25 basis points, bringing it down to 6% from 6.25% The impact of the reduction of RLLR will vary between old and new home loan borrowers. Most of these banks have promptly passed on the reduction benefit to new borrowers. However, existing borrowers will benefit according to their respective interest rate reset cycles.
RBI's rate cut dreams hit a tariff roadblock
Escalating trade tensions, dubbed 'Trump-tariffs,' have complicated the RBI's plans to cut interest rates despite easing inflation. Global uncertainties, potential stagflation, and capital flight risks are forcing the RBI to maintain a cautious stance. The central bank's actions are constrained by US Federal Reserve policies and the need to maintain capital inflows to support India's current account.
RBI will now allow banks and NBFCs to offload bad loans to investors directly
The Reserve Bank of India has introduced a new framework allowing banks and NBFCs to directly sell stressed assets to investors through special purpose entities, aiming to broaden the distressed debt market. This initiative introduces resolution managers to maximize asset recovery, while lenders must incrementally provision for securitized notes. ARCs may face increased competition, particularly for mid-sized and retail loans.
RBI eases credit enhancement norms in draft guidelines
In draft norms released on Wednesday RBI substantially reduced the capital requirement for REs, increased the credit enhancement limit to 50% of the bond issue from 20% earlier and also allowed the proceeds of money raised from the credit enhanced bonds to pay off bank loans.
New gold loan rules on cards: RBI proposes stricter norms, including monitoring use of funds
Banks' gold loans jumped 30% between September and February, sharply outpacing the growth in overall loans that was curtailed by tighter norms for unsecured lending. That surge in gold loans was despite the central bank's warning in September that it found several irregular practices in the gold loan industry.
RBI imposes Rs 3.2 lakh fine on Citibank
The Reserve Bank of India imposed a Rs 3.20 lakh penalty on Citibank N.A. for failing to conduct proper due diligence on inward remittances from a foreign currency account, violating FEMA provisions. The penalty follows a show cause notice and the bank's response, confirming the violations and justifying the fine.
RBI MPC Meeting Live: RBI boss is more concerned about US tariffs' impact on growth than inflation
RBI Monetary Policy Meeting: The Reserve Bank of India's Monetary Policy Committee (MPC) announced the outcome of its first policy review of the new financial year today, amid headline inflation showing signs of easing over recent months. The rate-setting panel unanimously decided to reduce repo rates by 25 bps to 6% from 6.25%, while changing the stance too, from 'neutral' to accommodative. Consequently, the standing deposit facility (SDF) rate under the liquidity adjustment facility (LAF) has been adjusted to 5.75 per cent and the marginal standing facility (MSF) rate and the Bank Rate to 6.25 per cent. GDP Projections: Real GDP is now projected for FY26 at 6.5%; Q1 at 6.5%; Q2 at 6.7%; Q3 at 6.6%; Q4 at 6.3% with risks evenly balanced. Inflation Projections: Inflation for FY26 has been projected at 4% as against 4.2% forecasted in February; Q1 at 3.6%; Q2 at 3.9%; Q3 at 3.8%; Q4 at 4.4% with risks evenly balanced. The RBI holds six bi-monthly meetings each financial year to assess key economic indicators, including interest rates, money supply, and the inflation outlook. The remaining meetings for this year are scheduled for June 4–6, August 5–7, September 29–October 1, December 3–5, and February 4–6.
UPI payments above Rs 1 lakh: Soon, you can pay a higher amount to merchants in new categories
Reserve Bank of India (RBI): The RBI announced several consumer centric developments in its monetary policy committee (MPC) meet on April 9, 2025. Among them is a development about increasing transaction limits for unified payment interface (UPI). The RBI said: At present, the transaction amount for UPI, covering both Person to Person (P2P) and Person to Merchant payments (P2M), is capped at ₹1 lakh.
RBI issues draft norms on securitisation of stressed assets
Securitisation of stressed assets involves transactions where risk of recovery in stressed assets is distributed, among investors, by repackaging such assets into tradeable securities with different risk profiles.
Poonam Gupta, former World Bank economist, appointed as RBI's deputy governor ahead of MPC meet
The Reserve Bank of India (RBI) has appointed Poonam Gupta as its new Deputy Governor. Gupta, who currently serves as the Director General at the National Council of Applied Economic Research (NCAER), will succeed Michael Patra in the role. This appointment is part of the ongoing leadership changes within the RBI.
RBI credit enhancement guidelines game changer for both investors & issuers, say bankers
RBI's draft guidelines on partial credit enhancement (PCE) are poised to revolutionize corporate financing, particularly for infrastructure projects. By reducing capital requirements and increasing the PCE limit to 50%, the move will enable companies to access bond markets at lower rates.
RBI issues draft guidelines on gold loans
Last September, the central bank directed lenders to follow rules after it observed deficiencies in processes like loan appraisal, end-use monitoring, and lack of transparency in auctioning gold in case of defaults.
RBI poised for 25 bps rate cut with accommodative stance amid global headwinds: Upasana Chachra
Morgan Stanley's Upasana Chachra anticipates a likely 25 bps rate cut by the RBI, followed by another in June, contingent on growth trajectory. Escalating global risks, particularly US tariffs, pose downside risks to India's GDP, potentially impacting business confidence and investment. While direct trade exposure appears limited, indirect effects via global slowdown are concerning.
No loan waiver for Wayanad landslides victims; only rescheduling, restructuring: Centre to Kerala HC
The Union government informed the Kerala High Court that loans for those affected by the July 2022 landslides in Wayanad would not be waived but would be rescheduled or restructured following the RBI’s guidelines on natural calamities. The Finance Ministry stated that a special meeting of the State Level Bankers' Committee (SLBC) in August 2022 decided on this relief, including a one-year moratorium and fresh loans.
Higher tariffs can negatively impact India’s net exports: RBI Governor Sanjay Malhotra
Malhotra noted that merchandise exports are likely to face challenges due to the uncertain global economic landscape.
RBI cuts rate by 25 bps, turns 'accommodative'
The central bank's rate-setting committee unanimously voted to lower the policy rate to 6%, in line with market expectations, paving the way for lenders to immediately reduce end-user borrowing costs for home and car purchases - retail loans typically pegged to the external benchmark.
RBI MPC changes stance: What will 'accommodative' stance mean for Indian economy in the future?
The Reserve Bank of India (RBI) has reduced its key repo rate for the second consecutive time by 25 basis points, bringing it down to 6.00%. Signalling potential for further cuts, the central bank shifted its monetary policy stance from 'neutral' to 'accommodative' to stimulate the sluggish economy amidst U.S. tariff pressures.
All eyes on RBI MPC outcome, bond investors look for cues. What should investors do?
Fixed-income investors are keenly awaiting the RBI's MPC meeting, anticipating a rate cut and a shift to an accommodative stance. Bond yields have declined due to global risk-off sentiment and the RBI's liquidity management. PGIM India MF suggests investors allocate to short-term and corporate bond funds, expecting the 10-year bond yield to trade between 6.25% and 6.50%.
Rupee hits three-week low as RBI rate cut, trade war weigh on sentiment
Indian rupee today:The Indian rupee fell 42 paisa to 86.68/$1 on Wednesday, hitting a three-week low amid global trade tensions and a 25-bps RBI rate cut. Bond yields rose, and traders expect further rupee pressure as tariff concerns mount.
RBI MPC allows NPCI to revise transaction limit in UPI for person to merchant transactions
RBI Governor Sanjay Malhotra announced that NPCI will have the autonomy to revise UPI transaction limits for in-person merchant payments, previously capped at ₹2 lakh. This decision was revealed alongside the MPC's decision to lower the repo rate by 25 basis points to 6.0%.
Banking system safe, secure and robust, IndusInd crisis an episode and not failure: RBI Governor Sanjay Malhotra
In this large system with number of players with almost 10,000 NBFCs and around 1,500 cooperative banks and cases of failure of cooperative banks in the last 7-8 years are very small compared to the overall size, Malhotra said.
Bank stocks fall up to 4% after RBI repo rate cut; gold loan NBFCs hit hard
Public sector banks were among the biggest losers, with Bank of India, Union Bank of India, Indian Bank, and Bank of Baroda dropping nearly 4%. Canara Bank, Punjab National Bank, and State Bank of India also saw declines between 1.5% and 2%.
RBI to retain liquidity focus for rate transmission
The Monetary Policy Committee (MPC) is scheduled to announce its rate decision on Wednesday, having slashed the policy rates for the first time in nearly five years by a quarter percentage point two months ago. An ET poll showed participants expect another quarter-percentage point reduction in rates this week, taking the repo rate to 6%.
RBI proposes regulations on export, import transactions
RBI released revised draft regulations under FEMA to streamline export and import transactions, aiming to enhance ease of doing business. Exporters with over two years of unrealised export proceeds exceeding Rs 25 crore must receive full advance or an irrevocable letter of credit for further exports. Advance remittance for gold and silver imports won't be allowed by authorised dealers.
Heightening global tensions, rising geoeconomic fragmentation makes for compelling case for a rate cut
President Trump's trade policies, including reciprocal tariffs, have sparked global economic concerns, potentially leading to a lose-lose scenario with higher costs and fragile trade relations. While some sectors in India may benefit from these shifts, overall GDP growth could be negatively impacted. Amidst softening inflation, a potential repo rate cut by the RBI is anticipated to boost economic growth.
Lenders urge RBI to return to daily overnight borrowing window to improve liquidity
Bankers have requested the Reserve Bank of India to reinstate the daily overnight borrowing window as the primary cash management tool to ensure better liquidity and quicker transmission of rate cuts. The RBI is expected to announce changes to the liquidity framework next week, coinciding with an anticipated repo rate reduction.
RBI to cut rates again? All eyes on central bank as it will commence FY26's first MPC meet
Reserve Bank typically conducts six bimonthly meetings in a financial year, where it deliberates interest rates, money supply, inflation outlook, and various macroeconomic indicators. The other five meetings are scheduled for June 4-6, August 5-7, September 29-October 1, December 3-5, and February 4-6.
India's bond market holding strong thanks to RBI’s clear rate trajectory: B Prasanna
The uncertainty premium has shot up and people basically do not want to, I am talking about global investors, do not want to kind of invest in dollar assets as much as what they wanted to invest earlier and also bear in mind that tariffs have a stagflationary impact where you have a lower growth but you do not have a lower inflation but a higher inflation.
RBI puts Bajaj Fin on notice over co-branded cards
The Reserve Bank of India has issued a letter of 'displeasure' to Bajaj Finance for failing to identify customer risks in its co-branded credit card business, prompting the NBFC to respond. A crucial role in co-branding agreements was highlighted by RBI, and customer complaints had surged, leading Bajaj Finance to halt new co-branded credit card sourcing with its banking partners.
RBI's first OMO of FY26 gets bids for 4x value
Bids offered for this OMO were worth ₹80,820 crore, against the notified amount of ₹20,000 crore, RBI data showed. On the other hand, after reviewing liquidity conditions, the
Let RBI manage rupee; buy into mkt dip but don’t be in a hurry to deploy: Nilesh Shah
Nilesh Shah of Kotak AMC advises investors to prioritize quality stocks and valuation amidst global uncertainties, advocating a cautious approach to deploying capital during market corrections. He anticipates opportunities arising from President Trump's actions. Shah believes the rupee's movement will mirror the Chinese currency, emphasizing the need for competitiveness and trusting the RBI to manage volatility effectively.
Welcome RBI's rate cut as economy needs push amid trade uncertainties, says FM Sitharaman
"On the Reserve Bank's announcement of a rate cut, I welcome it, really, with the sense of joy, because growth is of great importance," Sitharaman told PTI, when asked about the 25 basis point cut in the repo rate - the level at which the central bank lends to commercial banks, therefore influencing borrowing costs.
India central bank set to cut rates a second time as US tariffs add to risks
Reserve Bank of India is likely to reduce rates again. This is due to growth risks after United States import tariffs. Investors are watching the commentary closely. They want clues about future policy. Donald Trump imposed tariffs on India. This threatens India's GDP growth. Analysts expect more rate cuts this year. Inflation trends look positive.
Revolut gets RBI nod for PPIs, wallets
Revolut India already holds licences to function as a Category-II Authorised Money Exchange Dealer (AD-II), and to offer multi-currency forex cards and cross-border remittance services. With the PPI licence in place, Revolut can now offer both international and domestic payment solutions under one platform in India. Through its mobile wallet product, Revolut will also be able to offer UPI payment services to its Indian customers.
RBI warns of global shockwaves hitting India as Trump tariff timebomb lands
Trump Tariff India Impact: Amidst escalating trade tensions, RBI Governor Sanjay Malhotra addressed concerns over the newly imposed US tariffs on Indian goods, anticipating a negative impact on India's exports and overall economic growth. He highlighted the uncertainties in accurately measuring the tariff's impact, while expressing cautious optimism due to India's strong domestic manufacturing and government initiatives.
India may tolerate weaker rupee if tariffs spur yuan decline, sources say
RBI may allow the rupee to depreciate if China lets the yuan weaken, in response to new U.S. tariffs on Chinese imports. This depreciation of the yuan could affect Indian exports and widen India's trade deficit with China. The Reserve Bank of India is closely monitoring the situation.
Amnish Aggarwal says ‘wait for the dust to settle’ amid trade war chaos
Amnish Aggarwal of Prabhudas Lilladher anticipates a 25 bps rate cut by the RBI, citing controlled inflation and market volatility. He cautions against making fresh market bets amidst the US-China trade war, predicting continued volatility for the global economy and markets. While some Indian sectors like home textiles might benefit, increased dumping from China could pressure Indian industries.
Market Wrap: D-Street ends lower despite RBI rate cut; Sensex sheds 380 pts, Nifty below 22,450
Indian indices ended lower on Wednesday despite the RBI’s 25 bps rate cut and dovish stance, as escalating global trade tensions weighed heavily on banking and IT stocks.
Gold loan NBFCs expect RBI's 25 bps repo rate cut to lift gold loan demand, business sentiment
While the Reserve Bank of India’s decision to reduce the repo rate will ease borrowing costs and enhance liquidity in the short term, the real test will be in converting this into sustained credit demand.
Tariff wars will impede growth, says RBI governor Sanjay Malhotra
Sanjay Malhotra highlighted the risks to growth and inflation due to the US government’s measures on trade tariffs across the world. In his statement Malhotra said that global trade and policy uncertainties will dampen growth by affecting investment and spending decisions of businesses and households.
Shriram Finance seeks RBI license to underwrite govt debt
Shriram Finance Ltd., a prominent Indian shadow lender, is seeking the Reserve Bank of India's approval to establish a primary dealership through a new entity. This move aims to deepen its involvement in India's expanding bond markets, aligning with the nation's infrastructure investment drive.
Hold your cut in CRR horses, RBI
Banks are requesting the Reserve Bank of India (RBI) to cut the cash reserve ratio (CRR) to unlock ₹1.3 lakh crore of their funds. The RBI has responded to liquidity issues with bond purchases and FX swaps. A CRR cut may not be necessary as liquidity is being managed, and further dividends to the government will help improve the situation.
Devang Shah expects more easing ahead as global uncertainty spurs disinflationary outlook
Our perspective is that yes, currency is somewhere an important variable which markets will be looking at, not only currency people will also look at what is happening on US bond yields. US bond yields in the last five days are up almost 60 odd basis.
Growth risks to nudge RBI towards deeper rate cuts, economists say
Economists predict deeper rate cuts by the Reserve Bank of India due to downside risks to growth and benign inflation. Slowing urban consumption, tepid private investment, and the U.S.-China trade war threaten India's economic growth.
RBI expands scope of co-lending pacts beyond priority-sector loans
Banks must give 40% of the total loans to segments such as agriculture, micro, small and medium enterprises, export credit, education, housing, deemed as priority. Co-lending allows cheap financing to tap into last-mile access, helping funds reach unbanked and under-banked territories.
RBI committed to financial inclusion, balance stability with efficiency says governor Malhotra
Governor Sanjay Malhotra highlighted RBI's commitment to financial inclusion, customer protection, and regulatory optimization during its 90th anniversary celebrations. The RBI aims to balance financial stability with efficiency, embracing technology and innovation while maintaining core values of integrity, transparency, and public service commitment.
UBS slashes India's GDP forecast to 6% as Trump tariff timebomb clouds India's growth prospects
Following the Reserve Bank of India, UBS has also revised its GDP forecast for FY26, trimming it to 6% from the earlier estimate of 6.3%, as India braces for an economic hit of nearly 20 basis points due to President Trump's 26% tariffs. The RBI, under the leadership of Sanjay Malhotra, had earlier lowered its FY26 growth projection from 6.7% to 6.5%. On a quarterly basis, GDP is now expected to expand at 6.5% in Q1, 6.7% in Q2, 6.6% in Q3, and 6.3% in Q4—down from the previous estimates of 6.7%, 7%, 6.5%, and 6.5%, respectively.
